A city in South Korea is offering a grant of almost $ 100, 000 dollars for couples who manage to have at least three children, According to a local press report.
South Korean network KNN reported on Wednesday that the city of Changwon, capital of South Gyeongsang province, is fighting the problem of low birth rate with economic incentives.
Under this new policy, the government grants loans of 100 million South Korean won, or about $ 92, 000 dollars , all married couples residing in the city.
If the couple gives birth to a baby , will not be charged interest on the loan. For two children, 30% of the loan principal would be forgiven. If the family has three children, the entire loan is forgiven or converted into a grant , according to the report.
Kim Jong-pil, Changwon planning department representative explained that the policy comes at a time when “more innovative incentives for marriage and childbirth” are needed in the city, a statement that reflects similar concerns about the decline in the birth rate across the country.
According to the South Korean Ministry of the Interior and Security, the country recorded more deaths than births in 2020 . Last year there were 275, 815 births and 307, 764 deaths, as reported by CNN.
In Changwon, officials are concerned that the population may fall below 1 million . The local government has also said that it plans to create more jobs by attracting businesses and subsidizing housing for workers and university students.
The goal is to create 20, 000 jobs for 2025 , according to KNN.
Long working hours and lack of job opportunities in the competitive South Korean society have been cited as economic causes of the low birth rate and decline in the number of marriages among South Koreans between 20, 30 and 40 years.